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Could a tutor help me understand this? Hyrkas Corporation's most recent balance sheet and income statement appear below: Statement of Financial Position December 31, Year

Could a tutor help me understand this?

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Hyrkas Corporation's most recent balance sheet and income statement appear below: Statement of Financial Position December 31, Year 2 and Year 1 (in thousands of dollars) Year 2 Year 1 Asset: Current assets: Cash $ 120 $ 130 Accounts receivable 230 240 Inventory 130 120 Prepaid expenses 25 25 Total current assets 505 515 Plant and equipment, not 838 868 Total assets $ 1 .393 $ 1 .333 Liabilities and stockholders' equity: Current liabilities: Accounts payable $ 130 $ 170 Accrued liabilities 70 70 Notes payable, short term 120 130 Total current liabilities 370 370 Bonds payable 210 260 Total liabilities 580 630 Stockholders' equ'rty: Common stock. $1 par value 100 100 Additional paid-in capital--oommon stock 110 110 Retained eamings 603 555 Total stockholders' equity 813 765 Total liabilities and stockholders' equity $1.393 $1.395 Inoome Statement For the Year Ended December 31. Year 2 (in thousands of dollars) Sales (all on account) Cost of goods sold Gross margin Selling and administrative expenses Net operating income Interest expense Net income before taxes Income taxes (30%) Net income $1,440 372 568 372 1 96 53 143 43 $ 100

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